According to Brian Dover with Sharpe Mortgage in Atlanta Georgia, February 1st, 2010 marked the first date that the FHA "Spot Approval" Condominium process will no longer be allowed. 

This will affect many buyers who are trying to purchase condominiums that are not already FHA approved.  As long as the FHA Casefile ID is pulled prior to 2/1/2010, the loan may still close using the FHA Spot Approval process.

Otherwise, the condominium will now have to be approved by HUD or the DELRAP (DE Lender Review and Approval Process).  This is a more thorough review, that includes either submitting a full package to HUD and/or lender for the full review of the project to determine eligibility.  This also takes approximately 4-6 weeks, whereas the spot Approval was just a one page questionnaire that the HOA could complete.

Here is a link that you can review to determine if a condo is currently FHA approved.

Chances are that the closing date is quicker than it will take for that particular "Cashiers Check" or an "Official Check" to clear. 

The Collected Funds Law has been around a long time and requires that the funds used in closing real estate transactions in Washington State be collected.  This means that they have to have been deposited and cleared through the Federal Reserve Depository. 

Several years ago many local banks started issuing official checks instead of cashiers checks - these typically clear through another financial institution out of state. Of course, the banks are just trying to keep the interest on the float - they can use all the money they can get.  With all the bank failures  (6 in Washington just this year), you cannot be too careful.  The rules are in place to offer protection and should be followed. 

How to tell where the check clears?  If the routing numbers begin with either a "325" or a "125", you should be good for an overnight clearing.

When in question - wire transfer the funds!